NBE Archives – OROMIA TODAY

Correction | Fact-checking | MMPPM | ⏭

When Credit Capping Hits 24% — and Logic Hits Zero
ByEditorial Team Posted on2025-10-14

Correction: The 24% Figure Explained — and Why the Problem Remains the Same.
The much-circulated 24% was not Ethiopia’s lending rate but the annual cap on credit expansion — the ceiling on how much new money banks can lend each year. Yet this technical correction changes little: whether through suffocating interest rates or restrictive credit policy, Ethiopia’s banking system remains trapped in a cycle that starves growth while serving debt.

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Fact-checking | MMPPM | Politics | ⏭

Math Meets PP Regime Myth: Prosperity at 18-20% or More Interest Rate
ByEditorial Team Posted on2025-10-122025-10-12

This fourth installment in the Math Meets PP Regime Myth series examines Ethiopia’s record-shattering bank interest rate — a feat only the Prosperity Party regime could frame as progress. In the land of sanity, interest rates hover around 1–2%, allowing businesses to borrow, grow, and reinvest. Ethiopia now faces 24% interest rate. For small and medium enterprises operating on 5–10% margins, this is not financing but strangulation. When credit costs more than profit, business shifts from value creation to sheer survival — and the economy itself begins to suffocate.

Read More Math Meets PP Regime Myth: Prosperity at 18-20% or More Interest Rate